Motivations and impacts in the firm and stakeholders of quality certification: Evidence from small- and medium-sized service enterprises

Motives for implementing ISO 9000 – does enterprise size matter?

Purpose

The purpose of this paper is to investigate the motives for obtaining an ISO 9000-certified quality management system in small and medium enterprises (SMEs) and whether such motives differ between large companies and SMEs.

Design/methodology/approach

This study employed a qualitative approach, using multiple case studies. The primary research consisted of interviews with top and middle managers in four organizations and was complemented with direct observation and documental analysis.

Findings

The research findings confirmed the existing literature. The most common motivations for certification came from external pressure such as customer demand and ability to participate in public tender. It therefore validates that the classification of motives adopted for large companies is also appropriate for SMEs. The research also brought to light one implication of ISO certification that has escaped mention in the literature, namely, the distinction between primary and secondary motives. That is, companies driven by externally-driven motives to pursue ISO 9000 certification appreciated other benefits once they realized the full potential of the standard, leading to additional motivations.

Practical implications

The study was restricted to a single region of Greece and a single sector, food and beverage industry. This study may provide key insight for managers to understand and appropriately evaluate motives for ISO 9000 certification and to save them from misinterpretation and hasty conclusions.

Originality/value

Because the data gathered were longitudinal, this study offered a deep understanding of the true motives for ISO 9000 certification.

Effects of Service Quality Policies in the Tourism Sector Performance: An Empirical Analysis of Spanish Hotels and Restaurants

In the last few years, it has become essential, in order for companies to ensure their survival, to approach the customer and bet on quality. This is due to the importance of tourism in many economies and the increase in supply and demand. For this reason, there are numerous studies found in literature that evaluate the extent to which quality practices impact finances and competitiveness of tourism companies. Furthermore, the usual practice in many of these studies is to classify all types of tourism businesses in the same category, even though there seem to be significant a priori differences between them. The main objects of scrutiny in this study are restaurants and hospitality. The analysis of the aggregate results of two surveys carried out among executives in Spain that employed SEM methodology demonstrates that quality practices have influence, albeit indirectly, on a firm’s performance in a positive way. However, separate analysis of subsamples show disparities between hotels and restaurants. This paper illustrates that, although both subgroups operate in the same sector, they obtain different results from implementing quality policies. Therefore, the specific features and typology of the selected tourism company should be considered.

Quality management systems in European social service organizations

Purpose

The purpose of this paper is to analyze from an adopters’ perspective the European Quality in Social Services (EQUASS) Assurance standard, a certification program to implement a quality management (QM) system specifically tailored to European social service organizations (SSO). Specifically, it analyzes the motives, internalization, impacts, satisfaction, and renew intentions of this standard.

Design/methodology/approach

The research uses a cross-sectional, questionnaire-based survey methodology with both closed and open-ended questions. Of the 381 organizations contacted, 196 responses from eight different European countries were considered valid (51.4 percent). Descriptive statistical techniques and content analysis were employed to analyze closed- and open-ended questions, respectively.

Findings

The results show that SSO typically implement the certification for internal reasons, internalize EQUASS Assurance principles and practices in daily usage, obtain mainly operational and customer benefits, and consider main pitfalls such as increased workload and bureaucracy. Around 85 percent of the respondents are very satisfied or satisfied with the standard, which suggests that it meets their needs. The intention to renew the certification is also encouraging, but the final decision may be contingent on several aspects. Overall, the results reveal a rather optimistic picture, though there are some reasons for concern.

Originality/value

Recent years have seen many social services implementing QM systems, but there have been few studies investigating this phenomenon. Social service managers, consultants, auditors, and the EQUASS certification body can find in this work valuable information to make their practice more effective. This is the first study to report the results of an EQUASS survey in a scholarly journal.

Determinants of company innovation and market performance

Purpose

The present study focuses on two basic determinants of company innovation, namely, quality practices of top management and process quality management. The purpose of this paper is to explore the impact of these determinants on product and process innovation. Determining the impact of these dimensions of innovation on the market performance of a company is also an aim of the present study.

Design/methodology/approach

A research study was carried out on a sample of 433 Greek manufacturing and service companies. Data were obtained through a structured questionnaire from the chief executive officers of the companies. Exploratory and confirmatory factor analyses are applied to extract and validate all the latent factors considered in the suggested model, while their relationships are determined through structural equation modeling.

Findings

The analysis of the empirical data shows that both the dimensions of company innovation examined in the present study (product and process innovation) are positively influenced by the quality practices of top management and process quality management. Improving these two dimensions of company innovation, in turn, results in increased market performance.

Research limitations/implications

First, the sample of the responding manufacturing and service Greek companies which includes both small and medium-sized enterprises and large companies and which operate in circumstances of financial crisis; second, the subjective data collected from only one company representative; and third, the examination of only two factors influencing company innovation, are the main limitations of the present study. Based on these limitations, future research studies are recommended.

Practical implications

The empirically validated theoretical model of the present study can guide the policy makers of a company to select a quality management and innovation strategy through which the company can lay the foundations to increase its market performance, and thus, overcome the current economic downturn and financial crisis. Researchers can also use the suggested valid model as an assessment tool, a benchmarking tool and a tool for the design of their future research studies.

Originality/value

The present study contributes to the literature by determining a valid model that describes simultaneously the relationships between quality management factors, product and process innovation and market performance. This is also the first study reflecting Greek companies’ efforts to withstand the current downturn and penetrate the market through innovation.

Effects of total quality management in local authorities

Purpose

The purpose of this study is to determine the main total quality management (TQM) factors adopted and the respective results achieved by local authorities – municipalities. Determining the degree to which TQM influences the respective results is also an aim of the present study.

Design/methodology/approach

A research study was designed to be carried out in Greek local authorities – municipalities, 125 of which were approached through interviews with chief executive officers (CEOs) based on a structured questionnaire. The TQM practices and results identified in the literature were used as measured variables of the questionnaire. Descriptive statistics and linear regression analyses were applied for the purpose of the study.

Findings

The TQM philosophy is not highly adopted by the Greek local authorities participating in the present study. Moreover, the Greek local authorities do not seem to derive significant TQM benefits. Finally, adopting TQM strongly and positively influences, first, operational and quality performance of the local authorities; second, citizen satisfaction and society results; and third, employee satisfaction.

Research limitations/implications

Subjective data were collected from the CEOs of a small sample of local authorities operating in a European Union country, under circumstances of financial crisis. Based on these limitations, future research studies are recommended.

Practical implications

Areas for improvement are identified for a local authority to develop a robust TQM model, approach business excellence and derive significant benefits.

Originality/value

This is the first research study in the field of TQM to be conducted at city-level administration in Greece.

The underlying factorial structure and significance of the Six Sigma difficulties and critical success factors

Purpose

– The purpose of this paper is to determine the underlying structure (latent constructs) of the difficulties and critical success factors (CSFs) of Six Sigma implementation in manufacturing companies. Determining the significance Greek manufacturing companies give to the Six Sigma difficulties and CSFs is also an aim of the present study.

Design/methodology/approach

– A research study was carried out in 91 ISO 9001 certified Greek manufacturing companies through a structured questionnaire. Exploratory factor analyses are applied to determine the underlying structure (latent constructs) of the Six Sigma difficulties and CSFs, while their significance is determined through descriptive statistics.

Findings

– Three latent constructs of Six Sigma difficulties are extracted, namely, “implementation patterns of Six Sigma methodology”, “absence of human interest and support”, and “low quality management level”. These difficulties are not considered very significant by the sample companies. Three latent constructs of Six Sigma CSFs are also extracted, namely, “understanding the implementation patterns of Six Sigma and its interface with the company”, “company culture and organisation”, and “prioritising Six Sigma projects based on stakeholders and company performance”. The role of these critical factors for the success of Six Sigma is very significant, according to the sample companies.

Research limitations/implications

– The small sample of the responding manufacturing companies, the diversity of the business sectors represented in the sample, and the subjective business evidence obtained from the company quality managers are the main limitations of the present study. Based on these limitations, future research studies are suggested.

Practical implications

– By eliminating the negative influence of the difficulties and simultaneously by enhancing the positive influence of the CSFs, a robust internal business environment can be created for the successful implementation of Six Sigma.

Originality/value

– This study fills the literature gap and contributes to the literature by determining the underlying structure and the significance of the Six Sigma difficulties and CSFs. This is the first research study in the field of Six Sigma that has been carried out in ISO 9001 certified manufacturing companies operating in the Greek business environment.

The impact of total quality management on service company performance: evidence from Spain

Purpose

– The purpose of the paper is to explore the impact of total quality management (TQM) factors on performance dimensions of service companies.

Design/methodology/approach

– A research project was designed in the Spanish services sector. Companies that had already participated in activities with regard to business excellence were randomly selected and approached through a structured questionnaire, yielding a sample of 151 responding companies. By analyzing TQM implementation and company performance through the exploratory factor analysis, specific TQM factors and performance dimensions are extracted. The TQM factors that significantly influence the performance dimensions are determined through multiple linear regression analyses.

Findings

– According to the findings, the factors describing TQM implementation in service companies concern quality practices of top management, employee quality management, process management, employee knowledge and education and customer focus. Similarly, the performance dimensions revealed concern financial performance, operational performance, customer satisfaction and product/service quality performance. The TQM factors concerning customers, employees and top management significantly affect the performance dimensions.

Research limitations/implications

– The subjective data were collected from quality managers of a small-sized sample of companies operating in a European Union country and belonging to different services sub-sectors. Based on these limitations, future research studies are recommended.

Practical implications

– By focussing on specific TQM factors, a service company can improve its performance dimensions. In doing so, it can lay the foundations not only to survive but to be competitive in the current global scenario that is characterized by an economic downturn.

Originality/value

– This paper describes a reliable TQM model that can be implemented in the services sector and a means by which a service company can improve its performance.

ISO 9001 overall performance dimensions: an exploratory study

Purpose

– The purpose of this paper is to validate and assess the performance dimensions reflecting ISO 9001 benefits in service companies and to determine their relationships.

Design/methodology/approach

– A research study was carried out in 198 ISO 9001:2008 certified Greek service companies. Data were obtained through a structured questionnaire and have been analyzed with exploratory and confirmatory factor analyses.

Findings

– Four performance dimensions reflecting ISO 9001 benefits are extracted and validated, namely, product/service quality, operational, market and financial performance.

Research limitations/implications

– The research sample is limited to small and medium-sized enterprises operating in a specific European country. Further research may confirm the findings of this study to other countries as well.

Practical implications

– By determining and evaluating the performance dimensions and their inter-relationships, the ISO 9001 certified service companies are assisted to select an appropriate strategy to further improve their performance and competitiveness. The suggested model can be also used as a self-assessment and benchmarking tool for managers and practitioners alike.

Originality/value

– The present study provides a comprehensive model of performance dimensions reflecting ISO 9001 benefits in service companies.